SHORT STRADDLE	SHORT PUT
About Strategy	Short Straddle Option strategy This strategy is just the opposite of Long Straddle. A trader should adopt this strategy when he expects less volatility in the near future. Here, a trader will sell one Call Option & one Put Option of the same strike price, same expiry date and of the same underlying asset. If the stock/index hovers around the same levels then both the options will expire worthless an Read more..	Short Put Option Strategy A trader will short put if he is bullish in nature and expects the underlying asset not to fall below a certain level. Risk: Losses will be potentially unlimited if the stock skyrockets above the strike price of put. Read more..

SHORT STRADDLE Vs SHORT PUT - Details

	SHORT STRADDLE	SHORT PUT
Market View	Neutral	Bullish
Type (CE/PE)	CE (Call Option) + PE (Put Option)	PE (Put Option)
Number Of Positions	2	1
Strategy Level	Advance	Beginners
Reward Profile	Limited	Limited
Risk Profile	Unlimited	Unlimited
Breakeven Point	Lower Breakeven = Strike Price of Put - Net Premium, Upper breakeven = Strike Price of Call+ Net Premium	Strike Price - Premium

SHORT STRADDLE Vs SHORT PUT - When & How to use ?

	SHORT STRADDLE	SHORT PUT
Market View	Neutral	Bullish
When to use?	This strategy is work well when an investor expect a flat market in the coming days with very less movement in the prices of underlying asset.	This strategy works well when you're Bullish that the price of the underlying will not fall beyond a certain level.
Action	Sell Call Option, Sell Put Option	Sell Put Option
Breakeven Point	Lower Breakeven = Strike Price of Put - Net Premium, Upper breakeven = Strike Price of Call+ Net Premium	Strike Price - Premium

SHORT STRADDLE Vs SHORT PUT - Risk & Reward

	SHORT STRADDLE	SHORT PUT
Maximum Profit Scenario	Max Profit = Net Premium Received - Commissions Paid	Premium received in your account when you sell the Put Option.
Maximum Loss Scenario	Maximum Loss = Long Call Strike Price - Short Call Strike Price - Net Premium Received	Unlimited (When the price of the underlying falls.)
Risk	Unlimited	Unlimited
Reward	Limited	Limited

SHORT STRADDLE Vs SHORT PUT - Strategy Pros & Cons

	SHORT STRADDLE	SHORT PUT
Similar Strategies	Short Strangle	Bull Put Spread, Short Starddle
Disadvantage	• Unlimited risk. • If the price of the underlying asset moves in either direction then huge losses can occur.	• Unlimited risk. • Huge losses if the price of the underlying stock falls steeply.
Advantages	• A trader can earn profit even when there is no volatility in the market . • Allows you to benefit from double time decay. • Trader can collect premium from puts and calls option .	• Benefit from time decay. • Less capital required than buying the stock outright. • Profit when underlying stock price rise, move sideways or drop by a relatively small account.